REGISTRATION PURSUANT TO. PART X of THE ENVIRONMENTAL PROTECTION ACT FOR THE NUGGET POND CROWN PILLAR. Newfoundland and Labrador

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1 REGISTRATION PURSUANT TO PART X of THE ENVIRONMENTAL PROTECTION ACT FOR THE NUGGET POND CROWN PILLAR Snook s Arm Area, Baie Verte Peninsula, Newfoundland and Labrador RAMBLER METALS AND MINING CANADA LTD. Baie Verte, Newfoundland and Labrador December 16, 2010

2 Rambler Metals and Mining Canada Ltd. i REGISTRATION FORM Pursuant to Part X of The Environmental Protection Act NAME OF UNDERTAKING: PROPONENT: (i) Name of Corporate Body: Rambler Metals and Mining Canada Ltd. (ii) Address: P.O. Box 291 Baie Verte, NL A0K 1B0 (iii) Chief Executive Officer: George Olgilvie President and CEO P.O. Box 291 Baie Verte, NL A0K 1B0 (709) (iv) Principal Contact Person for purposes of environmental assessment: Darrell Hyde, P. Geo. Senior Project Geologist P.O. Box 291 Baie Verte, NL A0K 1B0 (709)

3 Rambler Metals and Mining Canada Ltd. ii SUMMARY Rambler Metals and Mining Canada Ltd. ( Rambler or RMM ) proposes to mine the crown pillar of the historic Nugget Pond Gold Mine. The pillar contains approximately 8,100 tonnes of ore grading 7.7 g/t gold which would be mined by surface extraction. The ore would be processed at Rambler s Nugget Pond Milling Facility. The Nugget Pond mine is located on the Baie Verte Peninsula approximately 5 kilometres from the community of Snook's Arm. The site is accessible by gravel road via route 416 (Snook s Arm Road). The Nugget Pond Gold Mine began commercial production in April 1997 and ceased operation in August During its operating life the mine produced a total of 168,748 ounces of gold from 487,765 tonnes of ore at a grade of g/t. The previous owners, Richmont Mines ( Richmont ), closed the mine in 2001 due to depletion of reserves, dilution problems in the footwall zone and the depressed market price for gold. The proposed mining would occur entirely within a brown field site. Mining will involve drilling and blasting four metre benches and trucking the ore to the on site Nugget Pond Milling Facility. Once mining is complete, the open pit will be backfilled with waste from the mining operation. Reclamation will include site grading, replacement of organic material and re vegetation of native species. Gold sample from Nugget Pond Gold Mine.

4 Rambler Metals and Mining Canada Ltd. iii TABLE OF CONTENTS SUMMARY...ii 1. THE UNDERTAKING Nature of the Undertaking Purpose/ Rationale/ Need for the Undertaking DESCRIPTION OF THE UNDERTAKING Geographical Location Physical Features Construction Operation Mining Method Trucking of Ore Potential Sources of Pollution... 9 Water Noise Air Emissions Fuel and Lubricants Waste and Garbage Dust Potential Resource Conflicts Wildlife Fish and Fish Habitat Land Use Water Resources Reclamation Occupations Project Related Documents APPROVAL OF UNDERTAKING SCHEDULE FUNDING SUBMISSION LIST OF FIGURES Figure 1: Location Map of the Nugget Pond Gold Mine, Baie Verte (1:250,000) Figure 2: Snook's Arm to Nugget Pond (1:25,000)... 3 Figure 3: Photograph showing recent trenching of the crown pillar area carried out by Rambler. The dashed red line outlines the approximate surface expression of the crown pillar. The white bar is 1m long for scale. The polishing pond is visible in the background.... 5

5 Rambler Metals and Mining Canada Ltd. iv Figure 4: Aerial view of the Nugget Pond site showing the location of the crown pillar relative to local water courses... 6 Figure 5: Sketch of a long section view of the crown pillar with depth extent of proposed mining Figure 6: Approximate surface expression of the. Grid and topographic labels are given in mine grid in meters... 9 LIST OF TABLES Table 1: Occupations Required for Mining the Table 2: Permits and Approvals Required for the Undertaking... 13

6 Rambler Metals and Mining Canada Ltd THE UNDERTAKING 1.1. Nature of the Undertaking Rambler Metals and Mining Canada Ltd. ( Rambler or RMM ) proposes to mine the crown pillar of the historic Nugget Pond Gold Mine. The pillar contains approximately 8,100 tonnes of ore grading 7.7 g/t gold which would be mined by surface extraction. The ore would be processed at Rambler s Nugget Pond Milling Facility Purpose/ Rationale/ Need for the Undertaking The crown pillar of the Nugget Pond mine contains a small but high grade gold resource in close proximity to an operating mill facility. The geometry of the mineralization is well understood from a combination of surface sampling, historical diamond drilling and historical underground face sampling. The Nugget Pond Mill was built specifically to process ore from the Nugget Pond Mine and the Tailings Management Facility is fully permitted with abundant capacity to handle the small amount of tailings generated from mining. Given the current high gold price and the favourable economics of the project, Rambler feels that now is the time to capitalize on mining of the Nugget Pond crown pillar. Potential revenue generated from this project will not only place Rambler in a stronger position to pursue its Ming Mine development, it will also provide a tangible benefit to the surrounding communities and the Baie Verte Peninsula as a whole. 2. DESCRIPTION OF THE UNDERTAKING 2.1. Geographical Location The Nugget Pond mine is located on the Baie Verte Peninsula approximately 5 kilometres from the community of Snook's Arm. The site is accessible by gravel road via route 416 Snook s Arm Road (Figure 1). The Nugget Pond Gold Mine is included under Mineral Licence 140 (4400). The mine is located on NTS map 02E/13 and the crown pillar is located at UTM coordinates 588,345E and 5,521,930N (NAD 1983, Zone 21) at an elevation of 130 metres above sea level (Figure 2).

7 Rambler Metals and Mining Canada Ltd. 2 Figure 1: Location Map of the Nugget Pond Gold Mine, Baie Verte (1:250,000).

8 Rambler Metals and Mining Canada Ltd. 3 Figure 2: Snook's Arm to Nugget Pond (1:25,000)

9 Rambler Metals and Mining Canada Ltd Physical Features The Nugget Pond crown pillar is located approximately 150m from the existing Nugget Pond Milling Facility. The infrastructure associated with the mill facility will not be affected by mining of the crown pillar. The crown pillar was partially mined by Richmont from surface in the later stages of the Nugget Pond Mine operation. The resulting pit was backfilled by Richmont upon cessation of the original mining in There is no vegetation present in the location of the previous mining except some low grass and alders. To properly evaluate the potential resource remaining in the crown pillar, Rambler has obtained a trenching permit for the site and has excavated part of the overburden, including backfill (Figure 3). Water bodies in the immediate vicinity of the proposed mining development are currently used for the permitted Tailings Management Facility (TMF, see Figure 4). The Tailings Pond is located towards the western edge of the crown pillar. The Tailings Pond drains into Nugget Pond which in turn flows into the Polishing Pond. Mining of the crown pillar will not impact the TMF operation. Water pumped from the area of the crown pillar during mining will be discharged into the Tailings Pond for treatment of suspended solids prior to release with the general tailings effluent stream. Drainage from waste rock stockpiled during mining will naturally flow by gravity to the Polishing Pond. If necessary, ditching and check dams will be used to minimize suspended solids entering the Polishing Pond. The gold bearing ore at Nugget Pond is sulphide rich however there will be minimal potential for acid rock drainage (ARD) generated from this mining operation. The gold in the Nugget Pond crown pillar, and therefore the sulphide minerals, is confined to a discrete mineralized zone surrounded by barren, sulphide free waste rock. The sulphide bearing material will be entirely processed at the mill facility with tailings deposited in the tailings impound area. Any residual ore exposed and left in place at the base of the pit area will be covered and flooded as groundwater rises to static in the pit area. Waste rock from the mining operation will be used for levelling of a working platform in the immediate area during mining and will be used as backfill upon closure. Rambler anticipates that the waste rock generated from mining will meet the requirements for backfill.

10 Rambler Metals and Mining Canada Ltd. 5 Figure 3: Photograph showing recent trenching of the crown pillar area carried out by Rambler. The dashed red line outlines the approximate surface expression of the crown pillar. The white bar is 1m long for scale. The polishing pond is visible in the background.

11 Rambler Metals and Mining Canada Ltd. 6 Figure 4: Aerial view of the Nugget Pond site showing the location of the crown pillar relative to local water courses Construction No new construction is required at the Nugget Pond mine site to mine and process the ore from the crown pillar.

12 Rambler Metals and Mining Canada Ltd Operation Mining of the Crown Pillar at the Nugget Pond Gold Mine is a small scale enterprise encompassing surface excavation of ore and transport to an operating milling facility located within 150 meters of the excavation site. The Nugget Pond Mill is a modern facility and is currently toll processing ore from Tenacity Gold Mining Co. s ( Tenacity ) Stog'er Tight and Crosshair Exploration and Mining Corp. s ( Crosshair ) Jaclyn Main Gold Deposit. The TMF is also fully permitted and has abundant capacity for the small amount of tailings which would result from the operation. The Nugget Pond Mill was built specifically to process ore from the Nugget Pond Mine therefore prior testing or equipment modification is unnecessary to proceed with this development Mining Method The crown pillar at the Nugget Pond Mine consists of a single vein type orebody that is typically albite quartz veining in a pyritic host rock overlain by massive green grey sandstone and underlain by red sandstone and siltstone. This vein system has been previously mined underground by Richmont. The remnant vein system in the crown pillar is approximately 125 meters long and varies between 4.0 to 15m in height (to the workings below). The total ore planned to be mined is approximately 8,100 tonnes at a projected undiluted grade of 7.7g/t Au. The overall planned pit dimensions will be approximately 125m Long x 20m Wide x 15m High at the west end (4m High at east end) (Figure 5). Upon receiving the required permitting a local contractor will be selected to drill, blast and haul the proposed ore to a pre existing stockpile at the Nugget Pond Mill. The mill is owned and operated by Rambler Metals and Mining and is presently set up for toll milling Au ore from neighboring mines. Prior to any mining activities a small amount of site preparation will be completed. All uneven ground on the site will be sloped and/or leveled and a haulage road will be established thus providing safe access in and out of the small pit. Proper signage will be erected clearly indicating the mining area and identifying potential hazards. Rock berms will be established for safety and maintained on the haul road during mining operations. Suitably sized pumps will be made ready and brought to the site in preparation for any pumping required to dewater the pit as mining progresses. The high wall of the pit will be pre supported to the extent deemed necessary by RMM Engineering Staff as bench mining progresses and prior to the removal of the final benches.

13 Rambler Metals and Mining Canada Ltd. 8 A plan view of the crown pillar footprint is illustrated in Figure 6. Survey data from the Richmont mining operations has been utilized in the Rambler ore calculations and will also be used for the final detailed mine design. The crown pillar will be mined by drilling and blasting 4m high benches which will be mucked with a 330 backhoe and trucked to the mill stockpile using 30 tonne haul trucks. All required waste stripping will also be completed on 4m high benches and the final pit walls will be sloped back safely. Initially the ore will be extracted on the western most bench. This western bench is at the highest elevation and the mining sequence will progress in such a manner that will eventually produce one level bench above the underground workings. Test hole drilling will be completed as mining progresses to determine the size and shape of the crown pillar thus ensuring a stable crown pillar and a safe working bench. The final bench will breakthrough into the last lift of the 5098 Stope previously mined by Richmont. The final bench will be mucked out prior to waste filling. Wall sloping and any required backfilling will then be completed and the pit area will be suitably bermed as per the closure plan. The planned extraction rate averages approximately 200 tonnes of ore per day from the pit for a total of 45 days of mining. A total of 24,000 tonnes of waste will be mined at a stripping ratio of 2.5:1. All bench blasting plans will be completed by Rambler Engineering and will be issued to the contractor to carry out blasting activities. All pit blasting will be carried out following a surface blasting procedure issued by Rambler Engineering Trucking of Ore Ore will be will be trucked from the crown pillar to the mill using 30 tonne articulated off road haul trucks. To meet the anticipated 200 tonnes of ore per day this will require 7 10 truckloads. The ore haulage trucks will also be utilized for stockpiling waste material when necessary.

14 Rambler Metals and Mining Canada Ltd. 9 Figure 5: Sketch of a long section view of the crown pillar with depth extent of proposed mining. Figure 6: Approximate surface expression of the. Grid and topographic labels are given in mine grid in meters Potential Sources of Pollution Potential Sources of pollution during the mining of the are similar to those incurred in any surface mining operation. These may include:

15 Rambler Metals and Mining Canada Ltd. 10 Water All water collecting in the pit created by excavation of the crown pillar will be pumped back into the established tailings management facility of the Nugget Pond Mine. Standard mitigation methods such as drainage ditches, catchment basins and screening will be utilized to prevent the introduction of contaminants into the tailings management system. All mechanical equipment will be regularly inspected to ensure leakage of fuel, hydraulics, oil and other hazardous products does not occur. Noise The Nugget Pond Mine is located approximately 5 kilometers from the community of Snook s Arm. Equipment noise and blasting associated with mining will be subdued by the surrounding forest and rolling topography surrounding the site. Noise is not expected to be a concern for the residents of Snook s Arm or wildlife in the area. Air Emissions All company and contractor vehicles and equipment are required to be in good safe operating condition. Fuel and Lubricants Mining activity poses a risk for the release of diesel fuel and lubricants from operating equipment. Rambler will ensure that all contractors and company equipment are inspected daily to ensure no hydrocarbon leaks occur. An authorized diesel fuel storage tank is already in use at the Nugget Pond site. All vehicles will be equipped with spill kits. Waste and Garbage All solid waste and small garbage will be collected and hauled to an existing local municipal landfill facility as per the waste disposal plan already in place at the Nugget Pond Mill Facility. Dust Dust generated by ore haulage to the mill will be minimized by the application of water to the haul road. A dust submission program is already established for the Nugget Pond site. Ore trucks will not be travelling next to any sources of potable water therefore dust contamination of this nature will not be a problem.

16 Rambler Metals and Mining Canada Ltd Potential Resource Conflicts Potential sources of resource conflict during the operations may include: Wildlife No wildlife conflicts are anticipated. Some moose, rabbits, fox, squirrels and small birds are known to inhabit the area surrounding the Nugget Pond Milling Facility. Fish and Fish Habitat The waters surrounding the are part of the existing Tailings Management Facility (TMF). Fish do not occur in these waters. No new road construction or stream crossings will occur as a result of this operation. Land Use The Nugget Pond crown pillar is located within 150 m of the Nugget Pond Milling Facility and no woodcutting occurs in this area. No hunting is allowed in the area. Water Resources Water use conflicts will not occur as there are no other users in the project area. Water required for mining purposes will be derived from the TMF Reclamation A detailed Rehabilitation and Closure Plan has been previously submitted and accepted for the Nugget Pond Site, and this document is currently being updated based on Rambler s proposed new (copper) mill circuit and other project activities. As the work to remove the crown pillar will be of very short duration, rehabilitation of this area will be conducted immediately upon completion of mining. Rehabilitation activities will include: Backfilling of the pit to pre mining grades. Based on an average bulking factor of 25%, there will be sufficient waste rock material excavated to backfill the pit area. The pit area and any waste rock stockpile areas will be re contoured, as required, to match adjacent grades and to provide for stable runoff channels (i.e. to minimize potential erosion).

17 Rambler Metals and Mining Canada Ltd. 12 Any overburden removed from the pit area will be graded over the backfilled site, and additional overburden, or organic soils, will be placed to support vegetation re growth. When weather permits, the area will be seeded to provide surface stabilization to promote natural re vegetation of native species. Monitoring of the rehabilitation efforts in this area will be possible over the 7 years of operation for the Ming Mine ore Occupations The mining process will employ approximately 31 people for a six to eight week period at two 11 hour shift per day. The open pit drilling and blasting rock hauling will be contracted out to local independent contractors. Required personnel are listed in Table 1 below. Table 1: Occupations Required for Mining the Occupation Number Required National Occupation Classification Manager Mining Supervisor Geologist Geological Technician Miners (Drillers and Blasters Surface) Mechanic Mine Laborer Mill Workers Total 31 Rambler will provide management personnel from its established labor force for this project. The personnel required to operate the Nugget Pond Mill Facility are also currently in place at the site. Miners, mine laborers and mechanic will be hired through an independent local contractor.

18 Rambler Metals and Mining Canada Ltd. 13 All positions are open to male and female workers. Rambler has recently implemented a Women s Employment Plan for its own Ming Mine project and those policies and procedures will be employed here. Rambler supports employment equity and diversity opportunities and will require the same from contractors where possible Project Related Documents There are no relevant environmental documents or studies related to the Nugget Pond Crown Pillar or the immediate area. 3. APPROVAL OF UNDERTAKING The following authorizations will be required for the Undertaking. Table 2: Permits and Approvals Required for the Undertaking Permit, Approval or Authorization Issuing Agency Release from Environmental Assessment Blasters Safety Certificate 1 Blasting Magazine License 1 Certificate of Approval for Operation of a Mine 2 Minister of Environment and Conservation Dept of Government Services Govt. Service Centre Dept. Natural Resources (Mineral Lands) Notes: 1 Blasting Certificate and Magazine licenses will be obtained by the drilling and blasting contractor. 2 The Certificate of Approval for Operation of a Mine requires the submission by Rambler of a Development Plan, a Closure Plan and Financial Security to be posted. 4. SCHEDULE Mining is scheduled to begin as soon as approval is received by Rambler and weather permits. Mining operations could commence in May or June 2011 and it is expected to take six to eight weeks to complete. These dates are tentative and dependant on weather conditions and availability of personnel and equipment. Reclamation would begin as soon as mining is complete (July or August) and should take three to four weeks to complete.

19 Rambler Metals and Mining Canada Ltd FUNDING Rambler will wholly finance the proposed Undertaking. There is no requirement for a loan or grant from any government agency. 6. SUBMISSION December 16, 2010 Date Name: Darrell Hyde, P. GEO Title: Senior Project Geologist Attachments: Site Map

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